Ford Misses Out On Chinese Lust For Pony Power

Bertel Schmitt
by Bertel Schmitt
ford misses out on chinese lust for pony power

GM is smarter than Ford when it comes to exploiting rich Chinese, says Tycho de Feyter of Carnewschina. While GM sells is Camaro in China for a whopping $72,000 on up, Ford is leaving money on the table and profits to grey importers.

The Price Of MuscleModelChina RMBIn $US MSRP $2013 Mustang V6568,00089,97122,200Boss 3021,168,000185,01142,995Shelby GT 5001,248,000197,68354,995Camaro 3.6 V6455,80072,19923,345

Says Tycho:

“Ford does not export the Mustang to China. However, it is relatively easy to get one via the thriving gray market. I went to a small dealer show in Beijing a while back and received a nice brochure from a Beijing-based Ford Mustang dealer. Not cheap; the 2013 Mustang V6 goes for 568.000 yuan. China’s high import taxes account for about 25%. Things get even madder with more expensive Mustangs…”

The 25 percent tariff is not all. There is a car sales tax of up to 40 percent depending on engine size. Also, there is a 17 percent value added tax. Lastly, there is the matter of the punitive tariffs China slapped on U.S. car exports. However, rumor has it that some taxes remain unpaid, especially in the netherworld of grey imports.

Despite the hefty taxes, rest assured that there is plenty profit in those grey imported Mustangs, profits that is shared by West Coast dealers who and by Chinese grey importers. On the GM side, that profit stays with Chevrolet. Says Tycho:

“Ford finally did take notice earlier this year and might or might not be considering importing the Mustang to China, but it won’t be anytime soon. Strangely, Ford decided to sell the Mustang in cash-stripped Europe first, where road tax for big American cars is very high and where their image very low. China would snap up many more Mustangs …”

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  • Juniper Juniper on Sep 16, 2012

    What kind of scale are we talking? 5000 a year, 500, 50, 5?

  • Dimwit Dimwit on Sep 16, 2012

    Based on the evidence, Ford is scared of China. Whether it's their wonderful IP reputation or just the sheer headaches from the bureaucracy but it's clear that Ford is keeping far away.

    • See 2 previous
    • Ranwhenparked Ranwhenparked on Sep 16, 2012

      @Dimwit Chang'an Ford Mazda builds the Ford Maverick, Focus, Fiesta, and Mondeo for the Chinese market, along with the Mazda2 and 6. Ford owns 35%, Mazda 15%, Chang'an 50%. Current plans are to split it in two 50-50 ventures, Chang'an Ford and Chang'an Mazda, with each taking one of CFMA's two assembly plants. Chang'an Automobile is China's 4th largest automaker, and a wholly owned subsidiary of China Weaponry Equipment. They sell their own models mostly under the "Chana" brand, which actually look quite modern.

  • Drnoose Probably just cutting conservative talk radio off at the knees. They can’t beat it, so kill it one way of the other.
  • Teddyc73 Looking forward to this. Hopefully it doesn't succomb to the leftist agenda and only come as an EV. If there is a gasoline version and a decent sized bed I'll consider this to replace my Ram 1500 when the day comes. Please let it be available in colors other than the same boring ones Ram has offered for years.
  • Xidex i haven't even turned the dial to AM since the 90's I think at that time it was only because there is one station i liked was on the AM dial (it is no longer around) Someone had to point to the station otherwise i wouldn't have even scanned the AM dial. I still think the AM dial should be left on radios though, If no one listened to it then there wouldn't be any stations would there.
  • Kwik_Shift I have five AM stations preset, each different from one another in terms of content. Some politics, some day to day, some do it yourselfing or help. Focus is more on local news and events. FM is just about pushing crap music and djs pushing the MSM message for their corporate overlords. FM is about making radio sound exactly the same all over North America. I like ONE FM station that plays different varieties of country music and has an entertaining dj. Overall, to each their own.
  • Kat Laneaux What's the benefits of this as opposed to the Ford or Nissan. Will the mileage be better than the 19 city, 24 hwy? Will it cost less than the average of $60,000? Will it be a hybrid?